Incentives withdrawal from garment industry to impact economy: JaPa leader
On 30 January, the Bangladesh Bank issued a circular lifting some incentives from the garment industry, effective from this month.
The opposition party Deputy Leader in the parliament and Chattogram-5 lawmaker Anisul Islam Mahmud has expressed concern that the Bangladesh Bank's move to withdraw incentives from the garment industry will be harmful to the economy.
The Jatiya Party lawmaker voiced his apprehension during a point of order in Sunday's Parliament session.
On 30 January, the Bangladesh Bank issued a circular lifting some incentives from the garment industry, effective from this month.
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Anisul Islam said, "The garment industry is a major driving force in the economic development of our country, especially now when our dollar crunch and export earnings are under pressure. I think this circular will be detrimental to our economy."
"I agree with the intention that if the subsidy or incentives are suddenly stopped in 2026 following the country's graduation from the list of less developed countries, the garment sector will be in trouble," he added.
"But the matter of concern is there is already a gazette offering incentives for the garment industry till next June. Those in the apparel industry have taken orders considering the incentive; they will suffer if it is stopped now," he said.
